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Stornoway is a leading Canadian diamond exploration and development company listed on the Toronto Stock Exchange under the symbol SWY. Our flagship asset is the 100% owned Renard Diamond Project, on track to becoming Quebec’s first diamond mine. Stornoway also maintains an active diamond exploration program with both advanced and grassroots programs in the most prospective regions of Canada. Stornoway is a growth oriented company with a world class asset, in one of the world’s best mining jurisdictions, in one of the world’s great mining businesses.

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BUILDING QUÉBEC’S FIRST DIAMOND MINEUpdate, July 22nd 2012Matt MansonPresident and CEO

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2Forward-Looking InformationThis presentation contains "forward-looking information" within the meaning of Canadian securities legislation and “forward-looking statements”within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to hereinas “forward-looking statements”, are made as of the date of this presentation and the Company does not intend, and does not assume anyobligation, to update these forward-looking statements, except as required by law.Forward-looking statements relate to future events or future performance and reflect current expectations or beliefs regarding future events andinclude, but are not limited to, statements with respect to: (i) the amount of mineral resources and exploration targets; (ii) the amount of futureproduction over any period; (iii) net present value and internal rates of return of the mining operation; (iv) capital costs and operating costs; (v) mineexpansion potential and expected mine life; (vi) expected time frames for completion of permitting and regulatory approvals and making aproduction decision; (vii) future exploration plans; (viii) future market prices for rough diamonds; and (ix) sources of and anticipated financingrequirements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives,assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”,“estimates”, “assumes”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”,“could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statementsof historical fact and may be forward-looking statements.Forward-looking statements are made based upon certain assumptions and other important factors that, if untrue, could cause the actual results,performances or achievements of Stornoway to be materially different from future results, performances or achievements expressed or implied bysuch statements. Such statements and information are based on numerous assumptions regarding present and future business strategies and theenvironment in which Stornoway will operate in the future, including the price of diamonds, anticipated costs and ability to achieve goals. Certainimportant factors that could cause actual results, performances or achievements to differ materially from those in the forward-looking statementsinclude, but are not limited to: (i) estimated completion date for the Environmental and Social Impact Assessment; (ii) required capital investmentand estimated workforce requirements; (iii) estimates of net present value and internal rates of return; (iv) receipt of regulatory approvals onacceptable terms within commonly experienced time frames; (v) the assumption that a production decision will be made, and that decision will bepositive; (vi) anticipated timelines for the commencement of mine production; (vii) anticipated timelines related to the Route 167 extension and theimpact on the development schedule at Renard; (viii) anticipated timelines for community consultations and the conclusion of an Impact andBenefits Agreement; (ix) market prices for rough diamonds and the potential impact on the Renard Project’s value; and (x) future exploration plansand objectives. Additional risks are described in Stornoways most recently filed Annual Information Form, annual and interim MD&A, and otherdisclosure documents available under the Company’s profile at: www.sedar.com.When relying on our forward-looking statements to make decisions with respect to Stornoway, investors and others should carefully consider theforegoing factors and other uncertainties and potential events. Stornoway does not undertake to update any forward-looking statement, whetherwritten or oral, that may be made from time to time by Stornoway or on our behalf, except as required by law.

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3Why Stornoway? 100% Ownership in Renard: One of the World’s Best Development Stage Diamond Projects In Québec, one of the World’s Best Mining JurisdictionsRenard Strong Feasibility Base Case Economics Extensive Resource UpsideDiamonds Excellent Long Term Fundamentals Few New Mining ProjectsStornoway Experienced Team Strong Québec Backing

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5The Last 8 MonthsMoving Forward with Québec’s First Diamond Mine November 2011: Released project BFS December 2011: Filed project ESIA February 2012: Announced commencement of access road construction. March 2012: Signed project Impacts and Benefits Agreement (“Mecheshoo Agreement”) March-May 2012: Raised $40m in a 50/50 debt/equity ratio May 2012: Announced $28.4m 2012 Pre- Development Program May 2012: Announced establishment of head office in Montréal July 2012: Signed the Declaration of Partnership with Chibougamau and Chapais

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7 Renard NI 43-101 Mineral Reserves and Resource Resource announced January 24th, 2011. Reserve announced November 16th, 2011 PROBABLE RESERVE Renard 65 29cpht Drill Delineated Renard 3 Micro/Macro Diamond Sampling Renard 2 106/118cpht 103/118cpht Bulk Sampling for Value 18 million carats Renard 4 53/44cpht Renard 9 INFERRED RESOURCE 47cpht Lower Resolution Drilling, or no Bulk Sample 17 million carats EXPLORATION UPSIDE Lower Resolution Diamond Sampling, or no Drilling. 24 - 49 million caratsNotes: Grades illustrated are for Indicated and Inferred Mineral Resources respectively at a +1DTC sieve size cut-off. Reserve and Resource categories are compliant with the "CIM DefinitionStandards on Mineral Resources and Reserves". Mineral resources that are not mineral reserves do not have demonstrated economic viability. The potential quantity and grade of any ExplorationTarget (previously referred to as a “Potential Mineral Deposit”) is conceptual in nature, and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

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11Long Term Business Plan Renard 65 Stornoway has also developed a Long Term Business Plan (“LTBP”) based on the Renard 3 Project’s total Indicated and Inferred Mineral Resources to a depth of 700m. This material is within the scope of the mine infrastructure costed within the Feasibility Study, and includes: • 6.1 Mcarats of high grade Inferred Mineral Resources between 600-700 meters depth in Renard 2. • 3.7 Mcarats of open pittable Inferred Mineral Resources to 290 meters depth in Renard 65 Although highly accretive, the project’s Inferred Mineral Resources are not included Renard 4 Renard 2 in the Feasibility Study economic analysis in Renard 9 accordance with NI 43-101, but do form the basis of the project’s ESIA and mine permitting. Mineral Reserve Included in Feasibility Mine Plan Upside Materials Not Included in Feasibility Mine Plan

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13Renard 65 Bulk SampleAnnounced July 23rd, 2012. Stornoway will commence the process of converting the project’s Inferred Mineral Resources with a 5,000 Existing R65 Pit Northern R65 Contact tonne bulk sample of the Renard 65 kimberlite, starting in July 2012. Renard 65 has a good potential to return large diamonds, and it is expected that 1,000 carats will be recovered for valuation. 5,000t Trench Ore will be trenched from the northern end of Renard 65 where kimberlite is already exposed at surface. Processing will occur at the 10 tph plant located at the project site, with diamond recovery at Stornoway’s North Vancouver facility. A 4 carat, top quality diamond Conversion of Renard 65 will allow an increase in recovered from Renard 65 drillcore planned production rate to 7,000 tonnes per day (2.6 Mtonnes/annum) and an extension of the project’s mine life and reserve tail. Results are expected by year end.

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14Renard’s DiamondsValuation Conducted by WWW International Diamond Consultants Ltd. May 8th-13th, 2011 Renard kimberlite pipes have a diamond population with a coarse size distribution and high proportion of large white gems. Lynx and Hibou kimberlite dykes have a finer distribution of browner stones. 99% by weight gem/near-gem quality. 1% industrial quality boart. Coarse size distribution: potential for significant “Specials”, not accounted for in the current resource work. (Three to six 50-100ct stones and one to two +100ct stones every 100,000 carats.) Implied grade loss through sampling breakage 15%-38%, not accounted for in the current resource work Renard 3 Bulk Sample Stones larger than 2 carats. “Run of Mine” Size of Largest May 2011 Kimberlite Valuation Diamonds Diamond Sensitivities Body Sample Recovered Price (Minimum to High) 1 (carats) (carats) (US$/carat) Renard 2 1,580 15.46, 8.80, 8.42 $163 to $236 Renard 3 2,753 10.15, 7.78, 6.36 $182 $153 to $205 Renard 4 2,674 5.92, 5.74, 3.99 $1122 $105 to $185 Lynx Dyke 535 21.53, 5.36, 5.34 $119 $99 to $144 Hibou Dyke 772 3.14, 3.07, 2.72 $118 $88 to $1361Based on an average of five independent valuations conducted between May 9th and 13th 2011, and supervised byWWW International Diamond Consultants Limited.2 The Renard NI 43-101 compliant Mineral Resource of January 2011 and the Feasibility Study of November 2011utilize a higher diamond price based on an analysis of diamond breakage and poor plant recovery of the Renard 4valuation sample, which is $164/carat. All samples utilize a +0.85mm (+1 DTC) cutoff

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17PermittingOn-Track for Completion in 2012 Renard falls under the environmental protection regime of the James Bay and Northern Québec Agreement (JBNQA) and the Canadian Environmental Assessment Act. Permitting Milestones: • December 2011: Filing of the Renard Environmental and Social Impact Assessment (ESIA) • June 2012: Successful public hearings in Mistissini and Chibougamau hosted by the federal regulator • August 2012: Scheduled public hearings under the auspices of the Review Committee of the JBNQA. Renard is on track for the receipt of its “Certificates of Authorization” within 2012. The Renard ESIA describes a limited-footprint project with modest impacts on the local environment, all of which are well within existing Québec and federal standards. Stornoway has published the complete ESIA, the Environmental Baseline Study, and the project Closure Plan online.

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18The “Mecheshoo” Agreement (IBA)Renard’s Social Licence The Renard Diamond Project is situated close to the Cree Nation of Mistissini (CNM). In March 2012 Stornoway concluded an Impacts and Benefits Agreement, the “Mecheshoo Agreement”, with the CNM and the Grand Council of the Crees (EI). The Mecheshoo Agreement provides for employment and business opportunities for the Crees, fosters cultural, environmental and social protection, and provides for the Crees’ participation in the project’s long term financial success. From left: Chief Richard Shecapio, of the Cree Nation of Mistissini, Grand Chief Matthew Coon-Come, of the Crees of “Stornoway has demonstrated an immense openness Eeyou Itschee, and Matt Manson, CEO of Stornoway, in and has been willing to adapt the project in a manner Mistissini on March 27th, 2012, on the occasion of the signing of the Mecheshoo Agreement. that respects the Crees of Mistissini, our interests, ourvalues, our culture and our way of life…At this point, wecan assure without a doubt that this project has a clear social acceptability from Mistissini” Chief Richard Shecapio, CNM, March 2012.

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19Strong Sponsorship in QuébecOne of the World’s Best Mining JurisdictionsStornoway enjoys strong support fromInvestissement Québec and theQuébec government • IQ is a 25% equity shareholder (34% fully diluted) with pre-emptive right to maintain ownership at 25% • IQ is committed to providing material lending support ($100M in project finance)The Québec government is committedto infrastructure development as part ofits “Plan Nord” • Québec has budgeted C$1.2B in infrastructure developments over the next five years, including the Route 167 Jean Charest, Premier of Québec, and Matt Manson, CEO of Stornoway, in Extension highway project. Chibougamau on August 1st for the announcement of Route 167 Extension • Stornoway’s involvement in the financing Financing Agreement. Mr. Charest is holding core from Renard 65 containing a four-carat diamond. of the Route 167 Extension represents the first agreement signed under the “Plan Nord”.

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20Declaration of PartnershipCooperation Agreement with Chapais and Chibougamau In July 2012 Stornoway concluded a “Declaration of Partnership” with the neraby communities of Chapais and Chibougamau. Chapais and Chibougamau are important regional hubs for civic and mining services. The Declaration provides for a framework to address issues of mutual interest such as communication, employment, economic diversification, and attracting people to move to the region. From left : Steve Gamache the Mayor of Chapais, Manon Cyr the Mayor of Chibougamau and Patrick Godin the COO of Stornoway on“The Declaration of Partnership is part of a new era July 5th, 2012, on the occasion of the signing of the Declaration of of economic and social development based on Partnershiprespect, mutual trust and a shared understanding of the issues of each partner ”M. Steve Gamache , Mayor of Chapais, July 5 2012

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21Stornoway’s Project Pipeline and Technical CredentialsAs a strategic priority, Stornoway Mineral resources that are not mineral reserves do not have demonstrated economic viability.maintains an active exploration The potential quantity and grade of any “Target for Further Exploration” (“TFFE”) is conceptualprogram and technical team in nature, and it is uncertain if further exploration will result in the targetbased in Vancouver. being delineated as a mineral resource.Stornoway’s project pipeline Aviat (90%)comprises both advanced and Qilalugaq (100%) Advanced Project Advanced Project 24-40 mcarats “TFFE”grassroots projects. 26 mcarats Inferred • Internal growth opportunities through the advanced Aviat and AEON (100%) Qilalugaq Projects. Grassroots Exploration • Grassroots discovery potential in Saskatchewan (“Pikoo”) and Québec (“AEON”) based on un- Pikoo (100%) sourced indicator mineral Grassroots Exploration anomalies with diamond potential.Stornoway considers themaintenance of in-house technical Renard (100%) NI 43-101 Resourceexpertise key to the growth of a 24 mcarats Indicatedsuccessful diamond mining 17 mcarats Inferred 24-49 mcarats “TFFE”business.